In this paper, whether markets are integrated or segmented is endogenous and is determined by the interaction of demand parameters, tariffs, transportation costs, and arbitrage. Given certain restrictions, it is shown, in equilibrium, that policy makers choose tariffs to segment markets. The effects of trade liberalization (reducing all tariffs to zero) in an endogenous market structure framewo...

In contrast to domestic trade, international trade inherently requires more intensive use of skilled labor with expertise in areas such as international business, language skills, and maritime insurance, and the transoceanic transportation is more capital intensive than the local transportation. In the presence of such bias in factor demands, globalization caused by an improvement in the export...

This study attempts to quantify the links between infrastructure investment and poverty reduction using a multi-region general equilibrium model, supplemented with household survey data for the Greater Mekong Subregion (GMS). Infrastructure investment is an important step in economic development, with improvements in transportation infrastructure boosting economic opportunities throughout the r...

  The main purpose of this study is to estimate the maritime transportation elasticities of the environmental pollution and economic growth in Iran within the short-run and long-run to find out the relationships among maritime transportation, environmental pollution and economic growth. The lagged endogenous model (a dynamic log-linear model that we used) is estimated using two distinctive ...

This paper surveys recent developments in the literature on trade facilitation, defined broadly as reform of non-tariff barriers. The paper looks at what trade facilitation is, why it matters, how to measure it, the gains from reform, and ways to implement it at the global, regional and unilateral level. JEL Classification: F13, F15.

Current research on antidumping suggests a number of channels through which antidumping affects the volume of world trade. This paper uses a structural approach to the gravity model framework to evaluate these hypotheses using data on trade volume over the period 1960-2001. We conclude that the volume and welfare effects have been negative, but quite modest. JEL classification: C230; F14; F15

The main objective of this study is to evaluate the impact of maritime transportation instability on international trade instability based on wavelet smoothing and spatial panel data econometric method during the period 1990-2012. The results showed that the spatial effects have an impact on international trade instability. So that a sudden 100 percent increase in international trade in the nei...

JEL: F15, F23, F12

We develop a model of vertical pricing in which an original manufacturer sets wholesale prices in two markets integrated at the distributor level by parallel imports (PI). In this context we show that if competition policy requires uniform wholesale prices across locations it would push retail prices toward convergence as transportation costs fall. However, these retail prices could be higher t...

We examine the relationship between real and financial integration. Real integration is measured by productivities of capital and labor from trade data for 1982 to 1997. Financial integration is measured by the black market exchange rate. We find more evidence of convergence to equality for returns to capital than for returns to labor. There is some support for associating the convergence of bl...